ED Searchlights on Reliance: A Tale of Alleged Financial Irregularities
The Enforcement Directorate conducted searches in Maharashtra and Madhya Pradesh against Anil Ambani's Reliance Infrastructure, probing alleged illegal remittances abroad. This investigation spans both FEMA and the Prevention of Money Laundering Act, with claims of fund diversions by multiple group companies.
- Country:
- India
The Enforcement Directorate (ED) carried out searches on Tuesday across numerous sites in Maharashtra and Madhya Pradesh, targeting the Anil Ambani-led Reliance Infrastructure as part of an ongoing investigation under the Foreign Exchange Management Act (FEMA), official sources confirmed.
The ED's move involved inspections at six different premises linked to Reliance Infrastructure in Mumbai and Mhow, amid allegations of unauthorized overseas remittances. The company clarified that this action relates to issues dating back 15 years, specifically pointing to a completed domestic contract for the Jaipur Ringus Highway with Prakash Asphaltings & Toll Highways.
Despite the company's assertion of no current links to the contractor, the ED is scrutinizing alleged financial misconduct. This includes a reported Rs 17,000 crore diversion, highlighted in a SEBI report, and suspected concealment of related parties in financial disclosures. Reliance Group has refuted any fiscal impropriety, maintaining that its past financial activities were adequately reported.
(With inputs from agencies.)
Google News